Glossary

Basic Service Requirement

A factor used to determine eligibility for benefits. You will meet the Basic Service Requirement once:

  • you have reached age 65, and
  • your age plus service add up to 80 or more.
Consumer Price Index (CPI)
A measure of the percentage change over time in the average cost of a large basket of goods and services purchased by Canadians. The All-items index includes the full range of goods and services measured by the CPI.
Deferred pension
The pension you will receive if you end your active Plan membership before age 65, are entitled to a pension, and choose to delay the start of that pension. You can start collecting a deferred pension on the first of any month, but payment must begin no later than the first of the month following your 65th birthday.
Disabled dependant child
A member’s child who is financially dependent on that member due to a physical or mental disability (that has been approved by the Provincial Judges Pension Board) and may be eligible for a survivor allowance.
Eligible child

A child who is the natural or adopted child of you and/or your spouse (or a child for whom you have shown intent to treat as a member of your family) who is:

  • under 16, or
  • 16 to 18 and financially dependent, or
  • at least 18, attending school to a maximum of 5 years from the completion of secondary school.
Eligible pension income
The portion of pension income that is eligible for transfer to a spouse or common law partner on your tax return; such a transfer is commonly known as pension income splitting. This strategy reduces one partner’s taxable income by shifting a portion of income to the lower-earning partner. The portion of income eligible for pension income splitting depends on the pensioner’s age and the source of the income. Please note that the rules on pension income splitting will depend on applicable legislation, which may change from time to time. For further information, please visit the Canada Revenue Agency’s website: Canada.ca under Eligible pension income(opens in a new tab).
Eligible spouse

Spouse is someone of the same or opposite sex who:

  • is married to you; or
  • has been living with you in a conjugal (common law) relationship continuously for at least three years; or
  • is in a relationship of some permanence with you if, together, you
    • are the natural or adoptive parents of a child; or
    • have shown intent to treat a child (other than a foster child) as a member of your family.
Only the spouse at the time of your retirement is eligible for the survivor allowance payable after you retire. If you enter a spousal relationship after retirement, your new spouse will not be eligible for a survivor pension.
Pension adjustment (PA)
Your PA represents the deemed value of the pension benefit you earned in a particular tax year under the RPP. The federal government has developed a complex formula to calculate PAs for members of defined benefit pension plans, such as the PJPP. Your PA is reported on your annual T4 tax slip. The purpose of the PA is to ensure tax fairness for those who participate in an employment-based pension plan versus those who do not.
Pension adjustment reversal (PAR)
A PAR is essentially the opposite of a PA, and reflects a reduction in the amount of money that has been contributed to the RPP for a plan member in a given year. A PAR restores the member’s Registered Retirement Savings Plan contribution room, or increases their deduction limit. A pension adjustment reversal can occur, for instance, when a plan member ends their employment before retiring.